Battery health certificates could play a significant role in stimulating the UK’s used electric vehicle (EV) market by providing a measure for vehicle value that doesn’t currently exist. 

That’s according to insurers AXA UK, which says they could have a positive impact on insurance premiums by making it easier for insurers to accurately assess the value of second-hand EVs in a similar way that mileage is used for vehicles with an engine.

New AXA research suggests that almost two-thirds (63%) of UK motorists are not planning to buy an EV, with more than a third (37%) citing concerns over battery lifespan as one of the main reasons. 

Just 8% of those questioned said they had plans to buy a second-hand EV. 

The new research – conducted by Stack Data strategy and commissioned by AXA UK – also shows that motorists don’t plan to buy EVs because they believe they are too expensive (61%) and because there is a lack of charging points in their local area (36%). 

Alongside the research, AXA UK has published a report, ‘Sparking Change – the case for delivering EV battery health certificates’, which highlights the benefits of standardised battery health certificates in increasing demand for used EVs and alleviating consumer concerns. 

The certificates would provide consistency in battery health information for all makes and models of used EVs to give consumers more confidence in the longevity of the vehicles they are buying, it says. 

The research also reveals that there is a clear lack of public awareness around the used EV market, with nearly two-thirds (64%) of those questioned saying there isn’t enough public information on how to buy a used electric vehicle. 

In the UK, new EVs and their batteries must have manufacturer warranties of eight years or 100,000 miles but these are often not passed on to subsequent owners of the vehicle. 

There is currently no standardised method in place for the owners of second-hand EVs to track the vehicle’s battery health or performance. 

Marco Distefano, managing director of AXA Retail, said: “Battery health certificates have the potential to boost consumer confidence and drive demand to create a thriving second-hand EV market. 

“It’s clear that motorists have concerns around both the lifespan and cost of electric vehicles and without addressing these issues there is a risk that EV uptake will remain low. 

“We urge the Government to urgently publish guidelines to support standardised battery health testing. 

“Not only will this stimulate the used EV market, but it also has the potential to positively impact insurance premiums by providing a barometer for assessing the value of EVs in a similar way that mileage is used for vehicles with an engine.” 

The Government made a commitment to introduce battery health certificates in its manifesto. AXA UK believes this should be implemented as soon as possible if the UK is to meet its ambitious EV targets.